CIA loses out to MBS in £20m CGNU media pitch

CGNU, the financial services giant formed through the merger of CGU and Norwich Union, has centralised its &£20m media business into MBS Media.

The move is a blow to CGU’s incumbent CIA Medianetwork, which counted the insurance company as one of its largest clients. The agency managed to retain the business when its original client, Commercial Union, merged with General Accident two years ago.

MBS already handles the Norwich Union business – worth &£10m. CGU’s annual spend is &£14m and the merger with Norwich Union is expected to result in a reduced spend.

The CGU brand is being axed.

Both businesses will be marketed in the UK under the Norwich Union brand.

The media decision was taken by former CGU brand director of marketing and sales Peter Hales and Norwich Union head of marketing for life and pensions Mike Kirsch.

Hales has been named as board sales and marketing director of the new company, while Kirsch takes on the role of consumer business director.

The move follows McCann-Erickson’s appointment to the creative account at the end of last month (MW June 22).

CGU and Norwich Union merged at the end of May to become the world’s sixth largest insurance company.

Its principal activities are long-term savings, general insurance and asset management.

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